Ola S1 X Electric Scooter Receives PLI Certification, Boosting India’s EV Industry

Ola Electric’s mass-market S1 X scooters, in both 3 kWh and 4 kWh variants, have secured Production Linked Incentive (PLI) certification from the Ministry of Heavy Industries. This significant achievement underscores the company’s commitment to local manufacturing and reinforces its position in India’s electric vehicle (EV) market.

To qualify for the PLI scheme, the S1 X models had to meet a minimum domestic value addition (DVA) requirement of 50%. By successfully fulfilling this criterion, Ola Electric has paved the way for substantial government incentives over the next five years. These incentives will not only reduce the company’s production costs but also enable it to offer competitively priced electric scooters to Indian consumers.

Ola Electric’s founder, Bhavish Aggarwal, expressed his excitement about the PLI certification on X, stating, “Excited to share that the S1X 3 and 4 kWh scooters have received the domestic value addition (DVA) certification under the Production Linked Incentive (PLI) Scheme. These two products make almost 50 per cent of our orders. More wind in our sails as we build India’s EV future!”

The S1 X, an entry-level electric scooter, is particularly sensitive to pricing. The PLI scheme’s benefits are expected to play a crucial role in making it more affordable for potential buyers. This development is likely to drive demand for Ola Electric’s products further and contribute to the growth of India’s EV ecosystem.

The PLI certification has positively impacted Ola Electric’s stock price. Shares in the company surged by 87% on Tuesday, closing at Rs 142.16 on the Bombay Stock Exchange. This significant increase reflects investor confidence in Ola Electric’s ability to capitalize on the growing electric vehicle market and the benefits of government support.

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